All the Latest news and updates on Budget 2012
So you have heard the leaks on the television and radio informing you that Budget 2012 will be the most severe Budget every imposed on the Irish People.
We will keep you up to date with all the Latest news as and when it happens.
Budget 2012 Update – Budget 2012 Day 2 Announced – 6 December
Finance Minister Michael Noonan has announced €1.6bn in tax increases & changes.
Read Budget 2012 Day 2 here
#Budget2012 THE FACTS AND FIGURES
No increase in income tax
Universal Social Charge exemption raised to €10,000 – this affects 330,000 people
Carbon Tax increased from €15 per tonne to €20 per tonne
- 1.4c increase on Petrol
- 1.6c increase on Diesel
- €17.32 increase on Fuel Oil (to rise in May)
- €14.46 increase on Natural Gas (to rise in May)
VAT rate raised to 23%
25c increase on pack of 20 cigarettes
No change to excise duty on alcohol
Legislation planned on low-cost alcohol
Motor Tax will increase from 1 January
- Band A up €56 to €160
- Band B up €69 to €225
- Band C up €28 to €330
First-time buyers will get mortgage interest relief at 25%
Also 25% for those who purchase their house in 2012
Non-first time buyers get mortgage interest relief at 15%
New measures introduced to help those who bought houses between 2004-2008
€100 household charge waived for those on mortgage interest supplement
Corporate Tax Rate to remain at 12.5%
Capital Acquisitions Tax up from 25% to 30%
Capital Gains Tax up from 25% to 30%
5% surcharge on investors with income over €100,000
50% Employer PRSI pension relief abolished
Tax up 1% to 6% on transfer of Approved Retirement Funds
Budget 2012 Update – Budget 2012 Day 1 Announced – 5 December
Public Expenditure Minister Brendan Howlin has announced €2.2bn in public spending cuts, including a €700m reduction in welfare, health and education spending.
1. Drugs Payment Scheme threshold to increase from €120 to €132
2. Student registration charge will be subject to once off increase of €250
3. Children’s Benefit flattened so in 2 years time first child and fourth child will receive €140 each
4. Frontline Staff (Nurses and Guards) can expect pay cut in form of 10% Overtime and 5% Allowances cuts
5. Winter Fuel Allowance – which is €20 a week and paid to people on low incomes or aged 66 and over : Cut by six weeks cut from ( reduced from 32 weeks to 26 weeks) – a total cut of €120 a year.
6 Increase in charge to private patients in public beds – which will affect Health insurance premiums .
7 New post graduate students will no longer receive maintenance grants
8. Back to school clothing allowance of €200 will be abolished for two and three year olds.
9. No new Fees for Medical Card
10 No increase in prescription charges
Read Budget 2012 Day 1 here
Budget 2012 Update – Public Expenditure Minister Brendan Howlin will today announce announce Budget 2012 Day 1 – 5 December
Public Expenditure Minister Brendan Howlin will today announce €2.2bn in public spending cuts, including a €700m reduction in welfare, health and education spending.
Minister Howlin will reveal the first part of Budget 2012 this afternoon at 2.30pm, with Finance Minister Michael Noonan to follow up tomorrow with changes in the tax regime. Watch the Budget Day 1 live by clicking here
Budget 2012 Update – Taoiseach Enda Kenny is set to address the nation – 4 December
The Taoiseach will address the nation tonight ahead of the announcement of more austerity measures in Budget 2012 – Watch the address live by clicking here
Budget 2012 Update – Transport Minister suggests “Take a holiday, its not all bad” – 1 December
Transport Minister Leo Varadkar claimed households would still have money “to take a holiday” because “it won’t be all bad”.
“Incomes will remain untouched,” he said. “The only people whose pay is being cut are ministers and senior civil servants. That means incomes will be the same next year.
Budget 2012 Update – Irish Tax Institute warns of Tax Tipping Point- 25 November
Irish Tax Institute President Bernard Doherty said: “The capacity for people to bear more pain is running out as we approach an overall tipping point in terms of the money that can be taken from them in tax. We welcome the Minister’s commitment not to touch income taxes which would damage employment and the economy; however there is no doubt that €1.6 billion in tax adjustments next year would still be felt by Irish taxpayers at an individual level”.
“The tax element of the last four austerity budgets was almost €4.8 billion and the Government is now seeking to raise €4.65 billion in taxes over the next four budgets starting in December.”
Budget 2012 Update – Finance Minister Michael Noonan has said that he intends to propose that VAT be increased by 2% from 21% to 23% in the Budget – 18 November
Budget 2012 Update – Public Service Reform – 17 November
Department of Finance releases its Public Service Reform Document
Budget 2012 Update – Infrastructure & Capital Investment 2012-16 – 10 November
Department of Finance releases its Infrastructure and Capital Investment 2012-16 Document
Budget 2012 Update – Medium-Term Fiscal Update – 4 November
Department of Finance releases Medium-Term Fiscal Update
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#Budget 2012 THE FACTS AND FIGURES
- VAT will increase from 21% to 23% on the 1st Jan 2012
- Motor Tax will increase in 2012
- A Household Charge of €100 will be implemented details to be confirmed waived if in recipt of the mortgage supplement.
- It is proposed that CAT and CGT rates will be increased by 5% to 30% CAT Group ! reduced to from €332,084 to €250,000
- The Budget will be presented over 2 days Monday the 5th December 2011 and Tuesday the 6th December 2011
- Taoiseach Enda Kenny has confirmed the Rate of Income Tax will remain unchanged